United Continental Holdings Inc (UAL), AMR Corporation (AAMRQ): Delta Air Lines, Inc. (DAL) Makes the Big Time

Domination continues

Delta is the best in class among large network carriers. Its focus on improving service in key business markets like New York and Los Angeles is contributing to corporate market share gains. This in turn has helped Delta boost its unit revenues faster than the rest of the industry. Now, the company is poised to eradicate unit cost growth as well.

This has created a winning combination that will keep Delta’s profit margins well above peers for the foreseeable future. Delta’s readmission to the S&P 500 may be boosting the stock this week, but fundamental improvements at Delta should continue driving gains for investors well beyond this year.

The article Delta Makes the Big Time originally appeared on Fool.com and is written by Adam Levine-Weinberg.

Adam Levine-Weinberg is short shares of United Continental Holdings. The Motley Fool recommends Southwest Airlines (NYSE:LUV).

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